FREDERICTON -- The manager of the Morgentaler Clinic in Fredericton says a 12-year-old lawsuit aimed at forcing the New Brunswick government to pay for abortions at clinics is being dropped.

Simone Leibovitch says the lawyer handling the case has been instructed to discontinue the court battle.

Dr. Henry Morgentaler launched the lawsuit in 2002 but the case was in limbo after he died last May.

Morgentaler had standing in the courts and Leibovitch says while he had the financial means to fight the provincial government to repeal Regulation 84-20, the clinic does not.

Under the regulation, abortion isn't covered by medicare in New Brunswick unless two doctors certify in writing that it is medically necessary and that it be performed by a specialist in an approved hospital.

Leibovitch says she doubts there would be anyone else with enough money to mount another challenge against the provincial government.

The Fredericton clinic announced last week that it will close at the end of July because it is losing money.